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CITY OF VANCOUVER ADMINISTRATIVE REPORT |
Date: |
September 2, 2004 | |
Author: |
Michael Irvine | |
Phone No.: |
604-873-7375 | |
RTS No.: |
04499 | |
CC File No.: |
1805 | |
Meeting Date: |
September 28, 2004 |
TO: |
Vancouver City Council |
FROM: |
General Manager of Engineering Services |
SUBJECT: |
Contract 2004-02 Canoe Creek Sewer Separation
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RECOMMENDATION
A. THAT Contract No. 2004-02 (Canoe Creek Sewer Separation Phase 1) be awarded to the low bidder meeting the contract requirements, Pedre Contractors Ltd., for a total tender price of $3,634,443.30 (GST included); with partial funding provided by both the federal and provincial governments under the Canada-British Columbia Infrastructure Program.
B. THAT the General Manager of Engineering Services, in consultation with the Director of Legal Services, be authorized to enter into a construction services contract with Pedre Contractors Ltd. for Contract No. 2004-02, Canoe Creek Sewer Separation Phase 1.
C. THAT the bid bonds of the unsuccessful tenderers be returned upon execution of the construction services contract.
GENERAL MANAGER'S COMMENTS
The General Manager of Engineering Services RECOMMENDS approval of A, B, and C.
COUNCIL POLICY
Construction contracts valued over $300,000 must be awarded by Council.
Contracts are awarded on the basis of best value for fee.
PURPOSE
This report recommends that contract 2004-02 Canoe Creek Sewer Separation Phase 1 be awarded to the low bidder, Pedre Contractors Ltd. The contract covers sewer construction and related work for the following streets:
Project |
Street |
Start |
End |
1 |
21st Avenue |
Inverness Street |
Windsor Street |
2 |
Glen Drive |
L/S of Kingsway |
21st Avenue |
3 |
24th Avenue |
Inverness Street |
Knight Street |
4 |
Walden Street |
30th Avenue |
28th Avenue |
5 |
Elgin Street |
28th Avenue |
King Edward |
6 |
Harriet Street |
30th Avenue |
28th Avenue |
7 |
28th Avenue |
Prince Albert |
St. Catherines |
8 |
31st Avenue |
Windsor Street |
Prince Albert |
9 |
31st Avenue |
Inverness Street |
Elgin Street |
10 |
Elgin Street |
31st Avenue |
33rd Avenue |
11 |
Ross Street |
31st Avenue |
33rd Avenue |
12 |
30th Avenue |
Prince Edward Street |
St. George Street |
13 |
Webber Avenue |
Sophia Street |
John Street |
14 |
40th Avenue |
Windsor Street |
Ross Street |
15 |
29th Avenue |
Fraser Street |
Prince Albert |
16 |
32nd Avenue |
Fraser Street |
Prince Albert |
17 |
Durward Street |
Fraser Street |
St. Catherines |
18 |
36th Avenue |
Main Street |
Prince Edward |
19 |
Walden Street |
36th Avenue |
33rd Avenue |
DISCUSSION
In 2002, the City received funding approval for three sewer construction projects under the Canada/British Columbia Infrastructure Program. The three projects are located within the Canoe Creek basin and have a total value of over $27M. Under the terms of the Infrastructure Program, 1/3 of the funding is provided by the City with the remaining 2/3 coming from senior levels of government. The City's application for financial assistance had been accepted based in part on the environmental benefits provided by accelerating the replacement of the existing combined sewer system with sanitary and storm systems. The City's 1/3 share of the funding has been provided under the main sewer replacement capital budget.
The City's approach to undertake the Infrastructure projects has been to use City crews for the majority of the construction, and to supplement it with some work contracted out to the private sector. This award represents the first of two construction contracts planned with another contract for approximately $5M to be submitted for Council approval in spring 2005.
The contract documents and detailed designs for the sewers listed above were prepared by Engineering Services staff. The work will be administered under a lump sum/unit price construction services contract. Lump sums for each tender item and unit prices are used to calculate interim progress payments to the contractor. Three bidders submitted complete tender packages, including bonding requirements. A summary of the bids received is provided in Table 1.
Table 1 - Contract 2004-02 Bid Summary | ||
Rank |
Contractor |
Bid Price |
1 |
Pedre Contractors Ltd. |
$3,634,443.30 |
2 |
Sandpiper Contracting Ltd. |
$4,079,696.00 |
3 |
Targa Contracting Ltd. |
$4,824,322.91 |
FINANCIAL IMPLICATIONS
As the low bid for the contract is in line with the Engineer's preliminary contract estimate of $3,665,000, staff recommend that Pedre Contractors Ltd. be awarded Contract 2004-02 Canoe Creek Sewer Separation Phase 1. Partial funds (2/3) for this project are available from the federal and provincial governments as part of the Canada/British Columbia Infrastructure Program. The remaining funds are available from the City Sewers Capital Program. The final cost of the contract will vary from the bid price as the estimated quantities of work for unit price items may be different from the actual quantity of work.
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